Tip Top Co., a currency dealer decided either to borrow or invest AUD2 million. The following data is available to enable her to perform covered interest arbitrage (CIA) transactions.

Malaysia interest rate

:

12 percent per annum

Australia interest rate

:

8 percent per annum

Spot rate

:

MYR3.0600/30/AUD

6-month forward rate

:

MYR3.1020/50/AUD

Show the CIA steps and determine the profit (in MYR) that Tip Top Co. may earn.